Following are just a few examples of the damage that a single directors and officers liability case can cause for a nonprofit.

Breach of Contract/Defamation

The founder and president of a nonprofit school resigned from his position due to personal issues. After he resigned, the school board discovered that he had not been performing his duties and several important projects had never been completed. When the former president requested to return to his former position, the school board refused due to this discovered dereliction of duty and poor performance. The former president then sued the school board alleging breach of contract and defamation. More than $120,000 was spent to resolve this matter.

Wrongful Termination/Retaliation

Shortly after being hired as the Development Director of a nonprofit organization, the claimant began to openly question the ethics of the organizations's executive director and CEO regarding the running of the organization, despite having no evidence of any wrongdoing. The claimant was terminated for gross insubordination. He then sued the nonprofit alleging wrongful termination and retaliation for whistle-blowing. Monitor paid over $500,000 to resolve this case.

Wrongful Termination

The executive director of a nonprofit organization was terminated for failing to comply with terms regarding the use of federal grant money. The executive director was terminated after an outside audit revealed the organization had failed to keep proper records regarding the use of the grant money. The former executive director filed a lawsuit against the nonprofit alleging wrongful termination. Monitor has paid more than $500,000 in defense of this case.